Cafe

United States Capitol Building dome in greyscale
by David Klemt David Klemt No Comments

House Votes to Replenish RRF

House Votes to Replenish RRF

by David Klemt

United States Capitol Building dome in greyscale

Eleven months after the closure of the Restaurant Revitalization Fund application portal, Congress has voted on RRF replenishment.

Earlier today, the House voted “yes” on $42 billion for the RRF via the Relief for Restaurants and Other Hard Hit Small Businesses Act of 2022 (HR 3807).

To clarify, the intent is that funds go to original applicants who were left out when the portal closed.

Neither the $1.7 trillion Build Back Better Act nor the $1.5 trillion omnibus spending bill passed in March included the RRF Replenishment Act.

So, this news is obviously fantastic. However, it’s also long overdue.

We’ve waited nearly 11 months for movement on relief for our ravaged industry. In comparison to the hospitality industry, the legislative process often moves at a glacial pace.

For obvious reasons, the long delay in replenishing the RRF has been devastating.

Nearly a month ago, I wrote and published “Congress is Abandoning Us.” Some considered the article harsh, others agreed with what I wrote.

To be clear, I stand by what I said after ten months of inaction. However, I’m relieved—cautiously—that the House proved their support for our industry today.

$55 Billion Lifeline

In its current form, the House bill would provide $42 billion. This is the amount believed to be enough to award grants to the original applicants from May of 2021.

Additionally, there’s another $13 billion for businesses in other hard-hit industries. So, the House bill provides a total of $55 billion in relief.

Per bill co-author Rep. Earl Blumenauer (D-OR), those who applied last year for the first (and only) round of RRF relief won’t have to re-apply.

Rep. Blumenauer reportedly told Nation’s Restaurant News that “[t]he independent restaurant is the foundation of a livable community.”

Continuing, Rep. Blumenauer told NRN, “We need to have these institutions to provide a foundation for our neighborhoods.”

As far as the source of the $55 billion, the money is supposed to come from funds recovered from 2020 and 2021 pandemic relief programs. This includes billions of dollars stolen through fraudulent relief program claims.

In an effort to combat further fraud and show the public that the funds are indeed going to the correct recipients, the SBA will be required to be transparent about its process.

As it stands, grant recipients will need to spend the funds on eligible uses by March 11, 2023.

Bittersweet

While this is huge news for our industry, it’s somewhat difficult to let go of my frustration fully. The RRF portal opened May 3, 2021. It closed just 21 days later, shutting out an estimated 177,000 grant applicants.

In June of last year, Sens. Kyrsten Sinema (D-AZ) and Roger Wicker (R-MS), and Reps. Earl Blumenauer (D-PA) and Brian Fitzpatrick (R-PA) introduced a bill to replenish the RRF.

That was followed in July by the ENTREE Act, introduced by Rep. Blaine Luetkemeyer (R-MO).

Then, in August, Sen. Rand Paul (R-KY) objected to a unanimous consent motion to fund the RRF. Essentially, after that occurred, it was crickets.

As stated above, when the Build Back Better Act was passed in November, relief for our industry was nowhere to be found.

Given all of this, and the fact that the bill must now go before senators for debate and a vote, I find myself still uneasy about the fate of the RRF.

We often say hope isn’t a strategy. However, I hope our senators do the right thing and pass the relief our industry so desperately needs and deserves.

Image: Joshua Sukoff on Unsplash

White Russian cocktail made with Mr. Black Coffee Liqueur
by David Klemt David Klemt No Comments

7 Coffee Liqueurs You Need to Know

7 Coffee Liqueurs You Need to Know

by David Klemt

White Russian cocktail made with Mr. Black Coffee Liqueur

Whether you and your bar team are making Espresso Martinis, riffing on classics or creating something new, consider these coffee liqueurs.

National Espresso Martini Day takes place on Tuesday, March 15. Leading up to this bar holiday, the cocktail is experiencing yet another resurgence.

In fact, this cocktail more than any other seems to maintain an enviable rate of “surging back” in popularity. Maybe it’s time to just admit that it’s a modern classic people love to hate…but still order and enjoy.

Below are seven coffee liqueurs that shine in an Espresso Martini, Old Fashioned, Negroni, Irish Coffee, or any number of rich, flavorful cocktails. Cheers!

Mr. Black

Most of the reviews out there place Mr. Black at the top when it comes to coffee liqueurs. Once you’ve sipped it neat, you understand why. The coffee flavor is outstanding, and that should come as no surprise. After all, Mr. Black is crafted in Australia, a country with a rich coffee culture.

Additionally, Mr. Black occasionally releases special batches. In the past, the brand has produced Single Origin Ethiopia, Single Origin Colombia, and collaborations with WhistlePig and St. Ali Coffee Roasters. They also have a coffee amaro available.

Grind Espresso Shot

You really can’t go wrong making an Espresso Martini with an espresso liqueur. Grind Espresso Shot gives Mr. Black a run for their money in the coffee liqueur showdown.

This blend of Caribbean rum, espresso, coffee, and coffee extract that shines in just about any cocktail.

Kahlúa

As the saying goes, respect your elders. Kahlúa is a coffee liqueur that dates back to 1936 and there’s a reason the brand is still so visible.

Not only does the brand claim it takes seven years to produce a bottle of Kahlúa, their range is deep is flavorful. The current lineup consists of more than just the original Kahlúa expression. There’s also Blonde Roast Style, Vanilla, Mint Mocha, Chili Chocolate, Salted Caramel, and Especial currently.

Jägermeister Cold Brew

We can argue back and forth about whether Jägermeister is a schnapps or an amaro. Either way, it serves as a fantastic base for a rich coffee liqueur.

Jägermeister Cold Brew blends the original herbal liqueur with arabica coffee and a touch of cacao. There’s a Dark Matter coffee available produced by washing Guatemalan coffee beans in Jägermeister’s coffee liqueur.

Caffè Borghetti

Who among us is unfamiliar with Fratelli Branca’s products? From Fernet-Branca and Brancamenta, to Antica Formula, Punt e Mes, and Carpano, it’s difficult to imagine a bar that doesn’t have at least one Branca product in their inventory.

So, when it comes to coffee liqueur, you can’t really go wrong with another of Fratelli Branca’s bottles: Caffè Borghetti. Sweet and imbued with the rich taste of Italian espresso, this is a liqueur that deserves a place behind your bar.

Flor de Caña Spresso

Produced in Nicaragua, is not just a highly sought-after and awarded rum, Flor de Caña is also the world’s first spirit to be fair trade and carbon neutral certified.

Their coffee liqueur, Flor de Caña Spresso, is made with the producer’s 7 Year Gran Reserva rum expression. You guests will know their enjoying a premium rum-based liqueur that’s sustainably and responsibly crafted.

Jameson Cold Brew

Combine world-famous Jameson Irish whiskey with arabica coffee beans from Brazil and Colombia and you get Jameson Cold Brew.

Not only do you get intense coffee aroma and flavor, you’ll also discover notes of toasted oak. So, your guests won’t have to worry that the coffee overpowers the whiskey or vice versa.

And c’mon—if you’re going to make an Irish Coffee, why not do it with a liqueur crafted with Irish whiskey? Interestingly, Jameson Cold Brew also pairs well with cream soda or cola.

Image: YesMore Content on Unsplash

Brewing a shot of espresso
by David Klemt David Klemt No Comments

The Cocktail that Won’t Die

The Cocktail that Won’t Die (Hint: It’s not the Zombie)

Brewing a shot of espresso

With Cafe Au Lait Day coming up toward the end of this week, let’s revisit a coffee cocktail that seems to see a resurgence every year.

When it comes to this drink, it seems to experience massive popularity for several weeks. Then, people seem to get sick of hearing about (and making) it.

From there, its popularity seems to fade, waiting for guests and bartenders to revive it once more.

And no, I’m not talking about the Zombie or a Corpse Reviver. I’m talking about the Espresso Martini.

Resilient, Revered, Reviled

Of course the Espresso Martini isn’t the only cocktail that can cause a bartender’s eyes to roll toward the back of their skull completely.

The Mojito, layered shots and cocktails, the infamous AMF, the Vodka Martini regularly find themselves on most-hated cocktail lists.

However, with its resurgence in 2021, the Espresso Martini is once again getting attention. Obviously, not all of it is positive.

While the origins of this drink are debatable, it sprang from the mind of a bartender in the ’80s. The caffeinated cocktail saw a spike in popularity in the ’90s. And at various points throughout the 2000s, people have “brought it back.”

Looking back at just the last few years, the Espresso Martini was woken from its slumber in 2018. Then, it rose like a phoenix in 2019. And last year it saw yet another surge.

So, is it a trendy cocktail? A mainstream drink? Are bartenders “bringing it back” every year or two now to rickroll the industry?

Or is this just a tasty cocktail that appeals to a wide range of guests, a modern classic that deserves its place on menus? Perhaps it doesn’t deserve all the hate it receives.

Why the Hate?

Of course, it’s possible that some of the hate aimed toward the Espresso Martini is clickbait fodder that won’t die. Maybe people just expect to find it on most-reviled lists, and it’s no more complex than that.

However, it’s possible that the Espresso Martini has earned a bit of the negativity thrown at it. When it makes any list, the ingredients themselves and build time are cited as reasons why bartenders dislike it.

According to these lists, bartenders also dislike having to shake hot espresso. Still others, supposedly, are offended that coffee flavor dominates and covers up the vodka, Kahlúa, Tia Maria, or other coffee liqueur.

Moreover, the Espresso Martini isn’t really a Martini: there’s no vermouth, no gin. So, it’s possible the negativity emanates from that technicality.

At any rate, you may want to dial in your Espresso Martini for Cafe Au Lait Day (Thursday, February 17).

No, there’s no milk in a traditional Espresso Martini build. But, as I stated just a moment ago, there’s no vermouth or gin in this cocktail either. Why not play fast and loose with yet another technicality on this bar holiday?

Image: Drew Beamer on Unsplash

LikeMeat plant-based burgers in skillet with onions
by David Klemt David Klemt No Comments

Plant-based Performance is Nuanced

Plant-based Performance is Nuanced

by David Klemt

LikeMeat plant-based burgers in skillet with onions

The World Resources Institute is making the case that the success of plant-based products on-premise will require menu changes.

In particular, changes need to be made menu item descriptions. Drilling down even further, the language we use in descriptions is crucial to performance.

Simply put, just offering recognizable plant-based brands and their products isn’t enough.

Speaking to Guests

When it comes to plant-based food items, there are multiple consumer segments to consider.

For example, there are those who are all-in on plant-based. Targeting this group is easy—promote the fact that you have the products they want.

There’s also the previous group’s counterpart: uninterested in these food items. It’s likely you’re simply never going to convince them to even try plant-based menu items.

Of course, there are the consumers in between. If succeeding with plant-based menu items will translate to more guests engaging with your business, increasing traffic and revenue, speaks to your brand in an authentic way, and matters to the community you serve, these are the guests you need to win over.

But as stated above, simply putting Impossible, Beyond, LikeMeat, or other brands on your menu likely isn’t enough. This is something some fast-casual brands are experiencing. Plant-based performance, as evidence and anecdotes appears to show, is nuanced.

Announcing plant-based alternatives seems to result in a quick rise in sales. However, that initial interest doesn’t appear to last long. And when sales slow an operator either finds themselves sitting on stock, lowering prices, or both.

Again, if succeeding with plant-based items is good for your brand, you’ll need to do some work.

Language Matters

The World Resources Institute (WRI) addressed this topic last week via video presentation. Titled “Messaging that Works: Engaging Diners in Climate Action,” the nearly hour-long video states that language matters for plant-based buy-in.

A study conducted by the WRI found that “nudging” guests with the right messaging boosted plant-based sales. The institute tested ten “framing themes” with ten associated themes.

Two types of messages “came out on top by a long way,” according to presentation host Edwina Hughes:

  • Small change, big impact
  • Joining a movement

Per the WRI’s study, those two themes resulted in around double the demand for plant-based items as other themes.

The first theme speaks to a person’s personal agency, or their actions and the impact they can have on their own lives.

Joining a movement relates to social norms. In particular, suggesting something is a movement tells someone that there are like-minded people already engaged with this concept, product, lifestyle, etc.

Putting this to Use

Menu descriptions, table talkers, POS messaging, and social media can all play a role. Again, this is only if this is important to your brand and guests. If plant-based menu items aren’t authentic to your business, the “Small change, big impact” messaging may not be of interest to you.

For operators who want to succeed with plant-based items, the WRI presentation suggests a “nudge.” In relation to the first theme from above, the process would be:

  • Personal empowerment statement: A person can have a positive impact on the environment.
  • Easily attainable action: Substitute one meat-based meal for a plant-based one.
  • Easily understood personal outcome: A positive result that can come from their purchase.

When it comes to the movement theme, operators can use the following nudge, provided by the WRI as an example during their presentation:

“Ninety percent of Americans [size and/or relevance of group] making the change to eat less meat [group’s behavior] choose plant-based dishes that have less impact [call to action].”

Plant-based menu items aren’t really a trend anymore, but they’re also not quite mainstream. If they’re going to perform stronger in the QSR and other segments, they’ll need better messaging.

Additional Takeaway

The lessons learned from WRI’s presentation aren’t limited to the performance of plant-based menu items. Nudges can work for all manner of products in all types of concepts.

When you look at your menu with a truly critical eye, ask yourself:

  • Does it have attention-grabbing descriptions?
  • Do the descriptions accurately describe the items?
  • Would you be swayed by your descriptions?
  • Are there any calls to action?

If you can’t answer yes to most or all of those, your menu would likely benefit from revisions.

Your menu isn’t just a catalogue of food, drinks, and prices. Rather, it’s a powerful sales and marketing tool. Take the time to leverage it accordingly.

Image: LikeMeat on Unsplash

Man in empty restaurant and bar in Ottawa, Ontario, Canada
by David Klemt David Klemt No Comments

Canadian Hospitality Needs Real Help

Canadian Hospitality Needs Real Help

by David Klemt

Man in empty restaurant and bar in Ottawa, Ontario, Canada

Restaurants, bars and other foodservice establishments throughout Canada need specific relief to survive, replace lost jobs, and return to profitability.

The seemingly endless and severe provincial restrictions is putting far too much strain on a struggling industry.

Yes, there are some federal provisions in place. No, they’re not enough.

Relief Efforts

Currently, the federal budget promises extensions for wage and rent subsidies. Those subsidies would extend to September 25, 2021.

However, most Canadians, per a Restaurants Canada survey, agree that the industry needs more help.

If additional industry-specific relief faces significant delays or doesn’t come at all, operators, employees, and their families will suffer.

No wonder, then, that 90 percent of Canadians (according to the Restaurants Canada survey) feel restaurants and bars need federal support to remain in business and continue paying staff.

Support Proposals

Of the approximately 98,000 foodservice establishments throughout Canada, about 10,000 are out of business. As of last month, 319,000 lost foodservice jobs had yet to be filled.

No other industry in Canada is facing such startling numbers. Add to that the fact that the industry contributes to four percent of Canada’s GDP, restaurants are the first employers for most Canadians, women comprise nearly 60 percent of the restaurant workforce, and visible minorities comprise over 30 percent of ownership and labor, and the situation grows even starker.

Clearly, industry-specific relief is necessary.

Restaurants Canada is campaigning for the following measures:

  • Extend the wage and rent subsidies through April 2022.
  • Develop subsidy requirements that more closely match the dire reality the industry continues to face.
  • Implement an employee retention and retraining credit to defray Covid-19 protocol costs.
  • Partial forgiveness for all government-backed loans.
  • Removal of merchant fees from the tax portion of restaurant bills.
  • Restore the meals and expenses to 100 percent on a temporary basis.
  • Develop and implement a culinary tourism incentive for the 2020 and 2021 tax years, using New Brunswick as a model.
  • Implement a rebate program that provides government reimbursement of $15 per person, per meal.
  • Freeze the Excise Act, including Excise Act 2021.

Act Now

It took more than a year but the industry and its supporters in America helped bring about meaningful change for restaurants, bars, and other hospitality venues.

The same can be done in Canada, and time is of the essence.

For example, the Restaurant Revival Working Group is a good start for effecting change. The group consists of government and industry representatives.

Click here to review the list of Restaurant Revival Working Group members, particularly those in government, so you can contact them.

Image: Tyler Farmer on Unsplash

"This is the sign you've been looking for" white neon sign on brick wall
by krghospitality krghospitality No Comments

SBA Releases RRF Guide and Forms

SBA Releases RRF Guide and Forms

by David Klemt

"This is the sign you've been looking for" white neon sign on brick wall

Operators in the United States are nearing the opening of the Restaurant Revitalization Fund application process.

The Small Business Administration’s RRF program guide and sample application are now available.

Let’s jump in!

RRF at a Glance

In simple terms, the RRF is the most targeted relief the industry in America has received since the pandemic took hold.

Eligible entities apply for a tax-free grant equal to the amount of a their pandemic-related revenue losses.

To calculate a grant amount, an applicant subtracts 2020 gross receipts from 2019 gross receipts. Applicants must deduct first-draw PPP and second-draw PPP loans, even if they’re paid back or forgiven. Any economic disaster loans—Economic Injury Disaster Loans, for example—are not RRF deductions.

Per the SBA, operators do not need to register for a System for Award Management (SAM.gov) account, meaning they no longer need to acquire a DUNS number.

RRF Eligibility

As the SBA’s RRF program guide states, eligible businesses A) must not be closed permanently, and B) are places where customers gather primarily to consume food or drink. Such entities include:

  • restaurants;
  • bars;
  • saloons;
  • lounges;
  • taverns;
  • food trucks, carts and stands;
  • snack and non-alcoholic beverage bars;
  • licensed facilities or premises of a beverage alcohol producer where the public may taste, sample, or purchase product; and
  • other similar places of business in which the public or patrons assemble for the primary purpose of being served food or drink.

However, that’s in no way the entire list of eligible businesses. Bakeries, breweries, microbreweries, brewpubs, taprooms, distilleries, wineries, and tasting rooms are eligible if they can provide documentation (which must accompany their application) that:

  • on-site sales to the public comprised at least 33% of gross receipts in 2019; or
  • original business model should have contemplated at least 33% of gross receipts in on-site sales to the public if they’ve yet to open or opened in 2020.

Interestingly, it’s possible for an inn to be eligible for the RRF. Such a business is subject to the same eligibility requirements as bakeries, breweries, etc.

Eligible Expenses

Businesses that receive an RRF grant may use the funds for eligible expenses during their covered period. That timeframe is the “period beginning on February 15, 2020 and ending on March 11, 2023.” Should the business close permanently, that period will end when the business permanently closes or on March 11, 2023, whichever occurs sooner.”

A grant recipient must return any funds to the Treasury if they’re unable to use for eligible expenses by the end of the covered period.

So, which expenses are eligible per the SBA for the RRF program? Below is a short list of eligible expenses:

  • Payroll costs (sick leave, costs for group health care, life, disability, vision, or dental benefits during periods of paid sick, medical, or family leave, and group health care, life, disability, vision, or dental insurance premiums).
  • Payments on any business mortgage obligation, both principal and interest (Note: Excludes any prepayment of principal on a mortgage obligation).
  • Business rent payments, including rent under a lease agreement (Note: Excludes any prepayment of rent).
  • Construction of outdoor seating.
  • Business supplies (including protective equipment and cleaning materials).

For the full list of eligible expenses and many more RRF details, please click here to download and view the entire SBA RRF program guide. To view the sample application and prepare for the process to begin, click here.

Disclaimer

This content is for informational purposes only, and should not be used as legal, tax, investment, financial, or other advice. This article does not constitute professional and/or financial advice, nor does any information constitute a comprehensive or complete statement of the matters discussed or the law. This information is of a general nature and does not address the circumstances of a specific individual or entity. The reader of this information alone assumes the sole responsibility of evaluating the merits and risks associated with the use of any information before making any decisions based on such information.

Image: Austin Chan on Unsplash 

Busy bar in black and white
by David Klemt David Klemt No Comments

The 5 Ds of Bystander Intervention

The 5 Ds of Bystander Intervention

by David Klemt

Busy bar in black and white

One non-negotiable for operating a restaurant, bar, nightclub or other hospitality venue is ensuring the safety of guests.

Harassing, threatening and violent behavior cannot be tolerated, period. Some venues employ trained and certified security tasked with keeping patrons safe.

However, not every business in this industry, restaurants for example, employ or retain security personnel. There are online and in-person security courses that owners, managers and staff can complete, and I encourage operators to look into doing so. Some courses can not only empower participants, they can result in the lowering of insurance premiums they’re considered so effective.

Additionally, it’s wise to study conflict resolution and de-escalation. Both are valuable skills in hospitality and other areas of our lives.

In the meantime, a global movement called Hollaback! has come up with the Five Ds of Bystander Intervention. These began as the Three Ds by Green Dot in the early 2000s. In 2015, they became the Four Ds. In 2017, a fifth “D” was introduced.

You’ll find the Five Ds below. Not every step works perfectly on the operations side but they’re still helpful. Doing nothing is simply not an option.

Distract

Per Hollaback!, distraction is a subtle and creative way to intervene, and the goal is “to derail the incident by interrupting it.” The witness employing distraction engages the victim of harassment directly, ignoring the harasser. Hollaback! provides the following examples of distraction:

  • Pretend to be lost. Ask for the time. Pretend you know the person being harassed. Talk to them about something random and take attention off of the harasser.
  • Get in the way. Continue what you were doing, but get between the harasser and the target.
  • Accidentally-on-purpose spill your coffee, the change in your wallet, or make a commotion.

It’s important to note that staff will need to read the situation if they witness harassment. Also, some of the above examples don’t really work in a hospitality setting, but you understand the idea.

Delegate

Delegation is simply asking for assistance or help. In many cases, if a staff member is witnessing harassment they’ll have a manager on duty on which they can rely for assistance.

Conversely, a manager can delegate to a staff member to employ the distract technique. In this situation, the staff member engages the victim of harassment and asks if they want them to call law enforcement. The manager can also direct a staff member to call law enforcement.

However, as Hollaback! notes, “a history of being mistreated by law enforcement has led to fear and mistrust of police interventions,” so the victim may not want to involve police. However, the venue must also protect themselves, so it may be necessary to involve law enforcement for documentation and other purposes.

Document

Along with protecting the victim and putting a stop to harassment, documentation is a crucial step.

All hospitality venues should be set up to complete incident reports. This protects victims (and therefore other guests and the community) and the business.

Hollaback! instructs a bystander to assess the situation first. If another bystander is already intervening, the witness must assess their own safety. Record the incident only if safe to do so.

Anyone who records the incident should ask the victim what to do with the recording. Don’t post it online—this is a traumatic experience and doing so is a violation in and of itself.

Delay

As Hollaback! explains, many incidents of harassment take place very quickly. It’s possible the incident will be over before a bystander can distract, delegate or document the harassment.

In a restaurant, bar or other hospitality setting, the harasser may exit the venue immediately, before staff can step in. That doesn’t mean everything is back to “normal.”

Hollaback! suggests engaging the victim in the following ways:

  • Ask them if they’re okay and tell them you’re sorry that happened to them.
  • Ask them if there’s any way you can support them.
  • Offer to accompany them to their destination or sit with them for awhile.
  • Share resources with them and offer to help them make a report if they want to.
  • If you’ve documented the incident, ask them if they want you to send it to them.

Direct

More than likely—and unfortunately—this is the step most familiar to bartenders, servers and other front-of-house staff.

Direct means to confront the harasser directly. Of course, this is the riskiest step.

Hollaback! suggests assessing the situation to ensure the bystander is safe physically; the victim is safe physically; the victim wants someone to intervene; and the situation may be unlikely to escalate if they confront the harasser.

Again, operators will have to come up with a plan for addressing harassment, threats and violence. Staff must be aware of policies and what’s expected of them, and they should feel comfortable sharing their thoughts on policies.

Incidents can happen at any type of venue in any location at any time. Doing nothing, however, is unacceptable.

Disclaimer

This content is for informational purposes only, and should not be used as legal or other advice. This article does not constitute professional advice, nor does any information constitute a comprehensive or complete statement of the matters discussed, the law, or liability. This information is of a general nature and does not address the circumstances of a specific individual or entity. The reader of this information alone assumes the sole responsibility of evaluating the merits and risks associated with the use of any information before making any decisions based on such information.

Image: Pixabay

Top